Debswana Production to be Cut to 20 Million Carats

(IDEX Online News) – De Beers has announced that production will be cut at mines operated by Debswana. Rough production in 2016 will be cut to 20 million carats to move more in-line with the weaker demand that has characterized the market of late.

The cuts will be made by producing more from the high-value, low-cost Jwaneng and reducing production from Orapa, Letlhakane and Damtshaa Mines (OLDM). Jwaneng Mine will produce around 12 million carats while OLDM will produce around eight million carats.

To achieve this reduction, the Damtshaa Mine will go onto a care and maintenance program. The Orapa Mine Plant 1 (One) will produce approximately 1 million carats while maintaining plant readiness for a production increase, in case it should it be required.

The company said efforts are being made to preserve jobs by re-deploying affected employees to other parts of the business.

Debswana Diamond Company is owned jointly by the government of Botswana and De Beers.